Robert Half International Inc (RHI)

Working capital turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	5,802,240	5,899,460	6,005,400	6,177,680	6,416,490	6,668,700	6,933,560	7,152,300	7,246,140	7,284,310	7,161,310	6,878,200	6,461,620	5,995,740	5,473,040	5,001,040	5,110,270	5,343,560	5,706,820	6,115,820
Total current assets	US$ in thousands	2,129,420	2,256,300	2,227,340	2,186,660	2,297,140	2,328,110	2,378,100	2,252,320	2,285,110	2,249,850	2,260,740	2,272,040	2,268,550	2,233,750	2,053,230	1,873,920	1,842,740	1,853,680	1,720,150	1,606,660
Total current liabilities	US$ in thousands	1,285,740	1,310,250	1,263,260	1,179,540	1,235,110	1,276,280	1,276,570	1,148,310	1,216,200	1,234,250	1,266,870	1,289,030	1,358,670	1,341,600	1,196,310	1,076,590	1,046,630	1,052,780	977,167	913,354
Working capital turnover		6.88	6.24	6.23	6.13	6.04	6.34	6.29	6.48	6.78	7.17	7.21	7.00	7.10	6.72	6.39	6.27	6.42	6.67	7.68	8.82

December 31, 2024 calculation

Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $5,802,240K ÷ ($2,129,420K – $1,285,740K)
= 6.88

Robert Half International Inc's working capital turnover has shown some fluctuations over the reported periods. The working capital turnover ratio measures how efficiently a company is using its working capital to generate revenue. A higher ratio indicates that the company is able to generate more revenue with less investment in working capital.

From March 31, 2020, to December 31, 2024, the working capital turnover ratio ranged from 6.27 to 8.82, showing variability in the efficiency of Robert Half International Inc's working capital management. Generally, a downward trend is observed with occasional increases and decreases in the ratio.

Key fluctuations occurred in the ratios for March 31, 2022 (7.00), December 31, 2022 (6.78), December 31, 2023 (6.04), and December 31, 2024 (6.88). These fluctuations may suggest changes in the company's operating efficiency and its ability to utilize its working capital effectively to support revenue generation.

Overall, monitoring the working capital turnover ratio can provide insights into Robert Half International Inc's operational efficiency and financial performance, helping stakeholders assess the company's ability to manage its working capital effectively.